Business Project Costs and Financing Sources/Management for Ventures and Other Applications

We hope that everyone is experiencing a good 2013.
We all know that when we are involved in business, funding abilities must be considered. Depending upon the size of your venture, you may have to consider various sources of financing for your business and/or other projects.
The following are possible sources for obtaining funds for your venture and various pros and cons related to them.
- Bank loans
These can be relatively easy to obtain if your credit rating is sound and if you provide a good business/project plan. Depending upon the loan arrangement, you may have to provide collateral. The present day interest rates are affordable over the short term.
- Credit Cards
This is fine for small office or other purchases as long as the balance is amortized as quickly as possible. The problem with this source is much higher interest rates.
- Lines of Credit
These can also be relatively easy to obtain if your credit rating is sound. Depending upon your situation, you may have to provide collateral. The present day interest rates are affordable over the short term.
- Incorporation
When you go through this process in order to find shareholders to provide funding, bear in mind that you will be not in total ownership of your venture. If you follow this route and your company gains success, you may be able to gain more shares of your venture by buying out shareholders.
- Personal borrowings from family and friends
This is a possible route but is strongly not recommended. Even though the loans could be arranged through good intentions, if your enterprise goes south, very uncomfortable relationships could evolve with family and/or friends.
For those of you who are interested, please check my IBO profile for my connection on LinkedIn. It will explain what my professional background is and provide answers to some of your queries.
Again, we wish everyone good success in 2013 and good health and success to everyone. We truly thank everyone again for your continued advice, assistance and support.
Mark and family
www.ibosocial.com/rmturnbull